GREY:HRIVF - Post by User
Comment by
peegoon Apr 20, 2009 6:42pm
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Post# 15931812
RE: RE: News
RE: RE: NewsI was reading through previous news releases and financials to get a more clear idea of the debts... and found this:
this is from the Jan2nd PR:
https://cnrp.marketwire.com/client/high_river_gold/release.jsp?actionFor=934250&releaseSeq=9&year=2009
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Lenders
High River and its operating subsidiaries have three lenders which comprise the majority of current and long term debt outstanding.
Approximately one half of the consolidated current and long term debt outstanding of $193 million, as of September 30, 2008, is comprised of various loans due to Nomos Bank by Buryatzoloto and Berezitovy. All scheduled loan repayments have been made to Nomos Bank, including a US $15 million loan repayment on November 21, 2008 on behalf of Berezitovy, and a further US $10 million loan repayment on December 21, 2008 on behalf of Buryatzoloto.
High River's Somita SA subsidiary, which operates the Taparko mine, continues to be in breach of loan covenants pursuant to the US $35 million loan agreement with Royal Gold Inc. The present balance of the facility with Royal Gold Inc. is US $30.3 million. Discussions are ongoing regarding obtaining a waiver of the covenant breaches.
Standard Bank Plc, with loans to Somita SA and High River of approximately $27 million, was recently granted a corporate guarantee from Severstal after completion of the Severstal private placement in High River. The repayment date on these facilities has been extended into 2010.
Total High River consolidated debt at the end of December 2008 is anticipated to be approximately US $142 million.
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So I guess these $27M in credit facitlities was guaranteed by severstal, and now it has been assigned to severstal. Does this mean 1) the $27M in credit facilities is responsibility to be paid back by severstal to standard bank, or 2) that severstal directly owns these debt facilities now, and that HRG owes the money to severstal?
Can anyone clarify?